Inflation up 0.89% in November: IBGE

Inflation in November stood at 0.89 percent, pulled by the spike in food and fuel prices. The value is higher than October’s 0.86 percent. According to the government’s statistics agency IBGE, this is the highest result for the month of November since 2015, when the indicator reached 1.01 percent. The data on Brazil’s official inflation come from the National Broad Consumer Price Index, or IPCA, published today (Dec. 8) by IBGE.

Year to date, the IPCA is up 3.13 percent, compared to 4.31 percent for the 12-month period, which is higher than the 3.92 percent observed in the 12 months preceding it. In November 2019, the indicator was reported at 0.51 percent.

According to IBGE, one month before the end of the year, and with 4.31 percent accumulated in 12 months, inflation is within the government’s target and near the center of the target, currently fixed at four percent, with a 1.5 percent tolerance margin, plus or minus.

Research Manager Pedro Kislanov said the accumulated value is also influenced by the strong inflation in December last year due to meats. “We’re going to have to wait to see how the behavior in December this year is going to be,” he pointed out.

He said the November landscape is similar to the one reported in the last few months, where food and beverages continues to make a considerable impact on the result. “In this group, the hard-pressed components are meats, which this month were up six percent, baked potato, up nearly 30 percent, and tomato, up 18.45 percent,” he said.

The prices of other foodstuffs crucial among families saw an increase, like rice (6.28%) and soybean oil (9.24%). After the spikes, food and beverages changed 2.54 percent. Other positive variations were beer (1.33%), soft drinks and mineral water (1.05%) consumed out of the home. These two goods had experienced a decline in October.